Global investors are hitting the eject button 🚀 on U.S. assets amid mounting anxiety over trade policies and ballooning debt, according to a Financial Times report. Institutional heavyweights are pivoting to Europe and Asia as Washington’s fiscal drama shakes confidence in the world’s largest economy.
💡 Why the shift? The U.S. government’s unpredictable trade moves—like tariff tiffs and policy flip-flops—are spooking markets. Add a $3.7 trillion tax-cut hangover 📉 and a $2.4 trillion deficit surge projected over the next decade, and you’ve got a recipe for investor retreat. Bank of America’s latest survey reveals U.S. asset allocations have plunged to a 20-year low—a clear “vote of no confidence” in Wall Street’s backyard.
🏦 Big players speak out: AllianceBernstein, managing $800 billion, called the U.S. deficit “unsustainable,” while Neuberger Berman shifted 65% of its private equity investments to Europe this year (up from 20-30%). Even Canada’s CDPQ pension fund is trimming its 40% U.S. exposure. One exec summed it up: “Trade uncertainty = sleepless nights for portfolio managers.” 😴
🌐 The bigger picture: Investors are rewriting the “America First” playbook, questioning whether U.S. markets still deserve their superstar status. As Schroders notes, the dollar’s slump and policy chaos are pushing funds toward calmer waters. Could this be the start of a global portfolio makeover? 💼✨
